A study on top managers from a resource-based perspective
ISSN: 1368-3047
Article publication date: 1 February 2021
Issue publication date: 11 May 2021
Abstract
Purpose
This study aims to apply the resource-based and upper-echelons perspectives to integrate concepts of strategic decision-making (i.e. speed and quality) and transformational leadership behavior (i.e. inspirational motivation, intellectual stimulation, individualized consideration and idealized influence) to examine how these resources are influenced by the characteristics of top managers (i.e. demographic backgrounds and entrepreneurial orientation) to affect firm performance.
Design/methodology/approach
Using evidence from a sample of 111 top managers from different firms in Taiwan, this research examined the relationships among the selected variables using two versions of the designed questionnaire: one for the leader, and the other for the followers. Confirmatory factor analysis and structural equation modeling were used to analyze the data.
Findings
The findings reveal the following: the entrepreneurial orientation of top managers does affect their leadership style, which affects firm performance; if top managers display traits of transformational leadership, then firm performance will be higher, likely because transformational leaders tend to make high-quality decisions and strategic decision-making speed was influenced by the experience of top managers and the inspirational motivation provided by transformational leadership.
Originality/value
This study makes three specific contributions: improving the limitations of demographics-based top-management studies by investigating both demographics and psychological characteristics; advancing research on the relationships between entrepreneurial orientation and performance by integrating transformational leadership behaviors and examining the proposed research model from a resource-based perspective.
Keywords
Acknowledgements
Funding: This research was supported by the Taiwan Ministry of Science and Technology grant [NSC99−2410−H−263−007−].
Citation
Hsu, Y.-T. and Chang, K.-C. (2021), "A study on top managers from a resource-based perspective", Measuring Business Excellence, Vol. 25 No. 1, pp. 58-77. https://doi.org/10.1108/MBE-02-2020-0038
Publisher
:Emerald Publishing Limited
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